No grounds for revoking license of Electric Networks of Armenia, says former CEO
YEREVAN, November 3. /ARКА/. David Ghazinyan, who previously served as CEO of Electric Networks of Armenia (ENA) power distribution company, asserted that there are no valid reasons to revoke the company's license.
Previously, the Chairman of the Public Services Regulatory Commission indicated that the administrative proceedings against ENA would conclude by November 18.
"The actions of the Armenian authorities are unacceptable. However, should a decision to revoke the license be made, discussions with ENA's owners must occur within three months. If those discussions do not succeed, the state may either take over the company or sell it to another entity," Ghazinyan remarked during a press conference on Monday.
Ghazinyan also addressed the issue of lowering electricity prices.
"On June 6, ENA suggested a reduction in prices, but the Public Services Regulatory Commission rejected this proposal. Based on our calculations, a reduction of about 3 drams is feasible with this year's profits alone," he noted.
"The PSRC alleged that Tashir Group intended to invest 12 billion drams in 2025 and increase the electricity prices. This is false. In reality, Tashir Group was willing to invest with compensation spread over 30 years or even utilize its own profits. The second falsehood was regarding a tariff reduction of 0.2 drams (20 lumas)," he added.
Simultaneously, Ghazinyan acknowledged that the authorities would likely reduce the electricity tariff before the parliamentary elections in Armenia scheduled for June 2026.
The Electric Networks of Armenia CJSC manages medium and low-voltage distribution networks in Armenia, serving approximately 1 million subscribers.
Tashir Group (the owne of ENA) President Samvel Karapetyan has been in custody since June 18, 2025. By decision of the Anti-Corruption Court, his detention has been extended until November 17.
He is accused of "public calls for the seizure of power" and large-scale tax evasion and money laundering.
Armenian Prime Minister Nikol Pashinyan announced his intention to nationalize ENA, asserting that the process would be carried out in accordance with Armenian law.
On July 18, the Chairman of the Public Services Regulatory Commission initiated administrative proceedings against ENA and appointed Romanos Petrosyan as the company's interim manager.
Samvel Karapetyan's legal team had filed a lawsuit with the Stockholm Arbitration Court challenging the decision to nationalize ENA. On July 22, it was announced that the urgent arbitration court ordered the Armenian government to "refrain from further steps aimed at the expropriation of ENA."
In response, the Armenian government stated that the appointment of an interim manager for ENA does not contradict the Stockholm Arbitration Court ruling and is aimed at identifying violations in the company's operations.-0-
